The Task Force on Climate-related Financial Disclosures
SPO communicates our approach to climate change mitigation, adaptation and resilience in accordance with its Climate Resilience SOP. SPO is already voluntarily offsetting part of our Scope 1 and 2 emissions and investing time and / or resources in research programmes on the viability and availability of sustainable alternative fuels.
Through the ISO 14001:2015 Environmental Management System and relevant MARPOL regulations, we manage our daily operational risks related to climate change, carbon and energy management. We produce Divisional Environmental Reports with performance against KPIs, which are signed off by the MD and sent to our parent company quarterly.
We take steps to build our resilience to climate change through:
- Reducing our carbon footprint through the establishment and implementation of long-term carbon emissions reduction targets;
- Adopting industry best practices to improve energy efficiency in our operations;
- Encouraging our employees, suppliers and customers to reduce carbon emissions in their daily operations wherever practicable;
- Incorporating climate change considerations in our procurement processes and encourage the use of low carbon and energy efficient products and materials;
- Assessing climate change and any associated financial and other risks and opportunities, in order to enhance our understanding of the impact of climate change on our operations;
- Putting in place appropriate processes and measures intended to prevent or minimise the damage that climate change may cause and to take advantage of the opportunities that may arise;
- Considering climate change in the location and design of new ships and projects;
- Adapting to climate change risks as part of our corporate risk management process;
Building Adaptive Capacity
- Incorporating climate change and extreme weather events into our business continuity plans; and
- Ensuring that relevant information and resources are available for the monitoring and regular review of the impact of climate change impact on our operations.
We have set ourselves a voluntary 3% intensity year-on-year reduction target for the reduction of our carbon footprint, which we measure and report on every quarter to our parent company. Our Risk Management process is outlined in the previous section.
We are in dialogue with Swire Pacific Limited on how to better address this issue at the Company level and across the Swire group. We will address this in more detail once the Swire group comes to a consensus on the most applicable Representative Concentration Pathway (RCP) to use for our scenario planning.
SPO has formally committed to:
- Reduce GHG emissions from our operations (SDG #7 and #13)
- Eliminate single-use plastic from our fleet and our offices (SDG #12)
- Switch to refrigerants with zero Ozone Depleting Potential (ODP) and lower Global Warming Potential (GWP) freons (SDG #13)